"It's definitely politics. It has nothing to do with justice or restitution to the innocent victims. In fact, more of the money is going to the coffers of the states and various departments than the victims," Kovacevich said Thursday on CNBC's "Squawk Box."
The BofA payout would be the largest in a series of soaring penalties against banks for a range of misconduct, including violating U.S. sanctions and inappropriately marketing mortgage securities. It is expected to be announced Thursday.
U.S. jobless claims fall, continued claims at seven-year low
WASHINGTON Thu Aug 21, 2014 8:32am EDT
Aug 21 (Reuters) - The number of Americans filing new claims for unemployment benefits fell more than expected last week, pointing to a sustained improvement in labor market conditions.
Initial claims for state unemployment benefits declined 14,000 to a seasonally adjusted 298,000 for the week ended Aug. 16, the Labor Department said on Thursday.
Claims for the prior week were revised to show 1,000 more applications received than previously reported.
Economists polled by Reuters had forecast claims slipping to 300,000 last week. A Labor Department analyst said there were no special factors influencing the state level data.
The four-week average of claims, considered a better measure of labor market trends as it irons out week-to-week volatility, rose 4,750 to 300,750. But at that level, it remains consistent with solid job growth and claims are back at their pre-recession levels.
The claims report covered the period during which the government surveyed employers for August's nonfarm payrolls data. The four-week average of claims fell 8,500 between the July and August survey periods, suggesting another month of relatively strong job gains.
The jobless claims report showed the number of people still receiving benefits after an initial week of aid fell 49,000 to 2.50 million in the week ended Aug. 9. That was the lowest level since June 2007.
The unemployment rate for people receiving jobless benefits was 1.9 percent for the sixth consecutive week.